Voip is not new, but it is easily explained.Each time a voip (internet) call is made the following takes place:-

A. You make a call to any regular telephone number in the world using either your softphone with USB phone,Voip telephone or your normal analogue telephone by dialling the required number directly.

B. A communication link between you and the dialled number is then established.

C. Your voice is then converted into digital packets, by your voip device.

D. These data packets are transmitted across the internet to your called party.

E. These digitised data packets use the same computer language as the internet uses which is called Internet Protocol.

F. The digital packets are then decompressed on the other side into normal voice for us to understand.

It is easy to see that the route taken for the call is over a different connection i.e. the internet, as opposed to the normal telephone companies network.The normal telephone company uses it's own telephone network to route your calls at exhorbitent call costs.With voip, calls are dialled over your existing internet(ADSL) connection at much reduced call rates.